Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: SUNDAY, May 13, 1990 TAG: 9005130254
SECTION: NATIONAL/INTERNATIONAL PAGE: A1 EDITION: STATE
SOURCE: The Washington Post
DATELINE: RICHMOND LENGTH: Medium
Wilder's statement, made during a commencement speech at Norfolk State University, could affect hundreds of millions of dollars in university endowments and the state's pension fund that are invested in firms that do business in apartheid-ruled South Africa.
Virginia's pension fund and its state-supported educational institutions are run by appointed boards that are outside Wilder's direct control but on which he can exercise vast influence. In his speech, Wilder said he was "directing" the boards to "immediately take steps to begin the divestment" of investments with ties to South Africa.
Although he is the nation's first black elected governor, Wilder's four-month-old administration has drawn criticism from some blacks for its conservative course.
His willingness to embrace the anti-apartheid movement stands in contrast to his silence over another controversy, the question of all-male admissions at state-funded Virginia Military Institute. Wilder has tried to remove himself from a U.S. Justice Department suit against the state on the ground that VMI's practices are not his responsibility.
Randall Robinson, president of the anti-apartheid group Transafrica, said other states, such as Massachusetts, have implemented policies similar to what Wilder proposes. But he said an aggressive policy in Virginia would be "a major breakthrough in the South."
In his speech at Norfolk State, a predominantly black university, Wilder indicated his new divestment policy wouldn't take place all at once, which would be a costly proposition. But he said he expects the stocks can be sold "with full adherence to our fiduciary principles and fiscal responsibility."
"The freedom sought in South Africa is no different from the freedom sought in East Germany, Poland and Lithuania," Wilder said. "Our support can be no less."
Wilder's speech is certain to add to speculation in this state's political circles that he is positioning himself as a candidate for national office in 1992. Wilder has said he wants to serve a full four-year term, but he has followed a heavy out-of-state speaking schedule and urged national Democrats to view his policies as an example to be followed.
Wilder, who had been recognized as one of the most liberal members of the state Senate, tacked rightward in the mid-'80s as he ran for lieutenant governor.
Wilder's press secretary, Laura Dillard, said the decision to announce a statewide divestment policy was made rapidly last week when administration aides were approached by people with questions about Wilder's view on investments at the University of Virginia.
It was recently disclosed that Wilder's education secretary, James W. Dyke Jr. had called members of UVa's Board of Visitors, urging them to support total divestiture of the $15 million the college has in South Africa-related stocks.
Rather than focusing on that school, Dillard said, Wilder decided to articulate a statewide policy affecting all institutions and agencies.
In his Norfolk speech, Wilder urged investments in companies that are "substansively free of interests in South Africa." Dillard said the administration has not devised a precise definition of "substantively free" but will do so soon.
by CNB